Kingsbarn Realty Capital, a sponsor of non-traded alternative investment offerings, has purchased two Fleet Farm retail centers located in Cambridge, Minnesota and Menomonie, Wisconsin. The company intends to offer interests in the two properties in a single Delaware statutory trust offering.
Each Fleet Farm store has approximately 18 years remaining on a triple-net lease with annual rental increases of 2 percent. In addition to the retail store, both locations also include an onsite gas station and a free-standing car wash facility. Both Fleet Farm stores had store sales of more than $30 million in 2021, the company said.
“With the acquisition of these two Fleet Farms centers, Kingsbarn has now acquired a total of eight Fleet Farm properties, including the flagship store located in Appleton, Wisconsin…,” said Jeff Pori, chief executive officer.
Founded in 1955, Fleet Farm sells farm, pet, home improvement, and automotive products in 47 locations in the Upper Midwest. Fleet Farm was purchased for $1.2 billion in 2016 by private equity giant Kohlberg Kravis Roberts & Co. L.P., which plans to expand its store count in the coming years, Kingsbarn noted.
Kingsbarn Realty Capital is a real estate private equity and development firm based in Las Vegas, Nevada. Kingsbarn structures its real estate investment opportunities for fractional 1031 investors. The firm has more than $1 billion of assets under management throughout the United States. In 2020, Kingsbarn Capital and Development was founded as the company’s development arm to expand its product offerings for investors to include ground-up development of real estate assets.